The New Melton Hospital Public-Private Partnership (PPP) will see the delivery of a new hospital with a 24-hour emergency department, 274 beds, an intensive care unit, maternity and neonatal services, mental health services, radiology services and ambulatory care. The project is being delivered under an availability-based PPP, with the appointed consortium responsible for the design, construction, finance, operation, including delivering non-clinical services, and maintenance of the project over 25 years. Site works are currently underway with main works due to commence this year and be complete by 2029. Late last year, the Victorian Government reached financial close with the consortium, with the Government committing more than $900 million to the project.
The Panel highlighted Capella Capital, the Victorian Department of Treasury and Finance, and Scyne Advisory’s collaboration to developa tailored financial solution that addressed project risks and met the needs of the Victorian community. This includes the integration of an innovative State capital contribution solution, minimising the project’s finance costs and avoiding additional finance challenges. The Panel recognised Capella Capital’s use of diverse sources of capital, including the incorporation of a Sustainability Loan to deliver a funding approach that optimised costs and supported sustainability objectives.